SA Market Update – 25/01/2018

South Australian grain values have continued positively this week, which has resulted in growers connecting more seriously with the market. There has been some good demand for H2 along with AUH2, and continued F1 demand has meant buyers are pricing above the market to secure tonnes. In saying this, we have seen instances of buyers stepping in with a strong number for limited tonnage but then step right back out again.

Malt barley bids continue to hold steady week on week. Values for Compass are sitting level to +$4/MT with F1. Several growers are sitting on Compass awaiting news on malt accreditation, keeping in mind that if/when accreditation does occur, a market will still need to be secured for the grain.

Canola has continued down the same path as last week, values are still soft and continue to struggle. The strongest in-system bid for canola was a $480/MT on the Adelaide track. The delivered market is a little stronger, with levels around the AUH2 $256/MT, ASW1 $243/MT and F1 $238/MT, with buyer’s call being from February-June.

This week has also seen the temperature gauges in SA start to rise again, this is set to cumulate with temperatures in the mid-40s this long weekend. Looking to the radar, we should see a drop in temperatures across the state and possible rainfall of 5-10mm early next week.